The state government has informed the Gujarat High Court that it has served charge sheets to three officials for not following rules in utilisation of MP Local Area Development Scheme (MPLADS) funds of Union minister Smriti Irani.
The Gujarat government has also attached, for recovery of funds, five bank accounts of a cooperative society which was awarded a work under the MPLADS, according to an affidavit.
The affidavit was filed on April 15. A division bench of Acting Chief Justice A S Dave and Justice Biren Vaishnav was hearing a public interest litigation alleging misuse of Irani's MPLAD funds.
The government said it has served charge sheets to then deputy executive engineer A D Rathod, then Anand district planning officer C R Birai and deputy accountant Hina Patel.
The PIL has been filed by Gujarat Congress chief Amit Chavda, the MLA from Anklav in Anand district.
The matter will be further heard on May 2.
Deputy Chief Minister Nitin Patel said Wednesday that action will be taken against erring officials.
"A government audit also established that funds were not utilised properly," he said.
On March 14, the division bench had sought details from the government about the recovery of money from the implementing agency and the status of investigation.
As a Rajya Sabha member from Gujarat, Irani has adopted Anand as the nodal district for her MPLAD funds.
Citing a report of the Comptroller and Auditor General (CAG), Chavda alleged that Irani was involved in "corruption and misuse of funds in collusion with other state and non-state actors".
The Gujarat State Rural Development Corporation (GSRDCL), implementing agency for her MPLAD schemes, continued to receive funds even after it was closed down by the government in August 2015, the PIL alleged.
Every MP can utilise Rs 5 crore annually as MPLAD funds. The money is released to the district authority of the nodal district of the MP.
The PIL alleged that the GSRDCL allotted works to Sharda Majoor Kamdar Sahkari Mandli, Kheda, "without following any proper procedure and in complete violation of MPLADS guidelines".
The guidelines prohibit the MP from selecting the implementing agency which is the job of the district authority, the petition said.
"But the district planning officer replied to the audit officer that works were awarded to that Mandli as per the instruction received from Irani's PA over phone," the PIL alleged.
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